A post office called Steptoe was established in 1875.[4] The community is named after Colonel Edward Steptoe for a battle located north of Steptoe near Rosalia, Washington.[5]
U.S. Route 195 runs through Steptoe, connecting it with the county seat, Colfax, 11 miles to the south and the region's largest city, Spokane, 43 miles to the north. Steptoe Butte rises to a peak more than 1,000 feet above the otherwise rolling Palouse grasslands four miles northeast of the community.[6]